Final answer:
Mancur Olson observed that individuals are less likely to engage in collective action when the perceived costs outweigh the perceived benefits, hence the claim that they act more when costs are higher is false. Behavioral economics, through concepts like loss aversion.
Step-by-step explanation:
Mancur Olson, in his work 'The Logic of Collective Action', suggested that individuals tend to not take action when the perceived cost of doing so exceeds the perceived benefit, not the other way around. He pointed out that collective action problems arise when the benefits of taking action are not sufficient to justify the costs, often resulting in individuals choosing inaction.
Behavioral economics also challenges the traditional rational actor model by introducing concepts such as loss aversion, where people experience the pain of loss more intensely than the pleasure of an equivalent gain. The insight from economists like Daniel Kahneman and Amos Tversky indicates that personal feelings and psychological factors can significantly affect decision-making processes, making them appear less rational than purely cost-benefit analyses would predict.
To summarize, individuals are more likely to take action when they believe the benefits outweigh the costs. This is a concept discussed in the field of social studies.